Economics

After dedicating a considerable amount of time to the Ethereum testnet blockchain, we have transitioned to Cosmos and established our own blockchain seamlessly integrated into the Cosmos network. This transition not only marks a shift in our technological infrastructure but also brings about a transformation in our economics.

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Target Monthly Inflation Rate

The Sentinel coin ($DVPN) inflation will follow a structured approach, organized into epochs lasting 6 months each. Following each epoch, the inflation rate will diminish by 6%, akin to a halving mechanism. Commencing with a genesis rate of 49% (equivalent to a monthly rate of 4.0833% during the first epoch), this model persists until blockchain validation rewards attain a 13% annualized inflation. Subsequently, a constant decay model, implemented on a per-block basis, will govern inflation. This decay model progressively reduces inflation to approach zero, ultimately aligning with the Sentinel chain's maximum hard cap of 48 billion coins.

In our two Medium blogs here and here we have delved more extensively into this topic. If you wish to explore it further, we invite you to read those articles for a more comprehensive understanding.